Securities and exchange board of India (SEBI) has approved a proposal to introduce a framework for ‘Accredited Investors’ in the Indian securities market. Who can be 'Accredited investors'?

Securities and exchange board of India (SEBI) has approved a proposal to introduce a framework for ‘Accredited Investors’ in the Indian securities market. Who can be 'Accredited investors'? Correct Answer All 1, 2 and 3

The correct answer is Individuals, Hindu Undivided Families, Partnership Firms.

  • Securities and exchange board of India (SEBI) has approved a proposal to introduce a framework for ‘Accredited Investors’ in the Indian securities market.
  • It will be a class of investors who may be considered to be well informed or well advised about investment products.
  • Accredited investors may be Individuals, Hindu Undivided Families (HUFs), Partnership Firms, family trusts, sole proprietorships, partnership firms, trusts and body corporates, based on financial parameters and information as may be specified by SEBI.
  • The framework will also set the modalities of accreditation and procedure to avail benefits linked to accreditation.
  • Accredited investors usually enjoy special status under financial regulation laws.

Related Questions

The question given below consists of a statement, followed by three arguments numbered I, II and III. You have to decide which of the arguments is/are ‘strong’ arguments and which is/are ‘weak’ arguments and accordingly choose your answer from the alternatives given below each question. Statement: World’s largest beer maker Heineken NV, the majority partner of United Breweries with Vijay Mallya, is understood to have sought legal opinion over its right to appoint a chairman at the Indian company. Heineken and some of its advisers believe that the shareholder agreement between Mallya and the beer giant has become null and void after India’s Enforcement Directorate attached his shares as part of its legal action against the liquor baron. Which among the following arguments support the above statement in the best possible manner? Arguments: I. UBL has stopped sharing confidential information with Mallya and has said that he is no longer privy to any strategic developments.  II. The board of UBL, India’s biggest beer company, had asked Mallya to either step down or appoint a nominee after the Securities and Exchange Board of India barred wilful defaulters from holding key board positions last year.  III. The company is functioning well and operations are in good shape but it is not good corporate governance to have an acting chairman for so long.
The Securities Market regulator Securities and Exchange Board of India (SEBI) has tightened the Participatory Notes (P-note) norms. The main purpose of this decision is to keep